IKEA and Ellen MacArthur Foundation enter strategic partnership to accelerate the circular economy transition

IKEA is committed to becoming a circular business by 2030. The Ellen MacArthur Foundation is a global thought leader on the circular economy. The strategic partnership announced by Inter IKEA Group and Ellen MacArthur Foundation today will focus on putting the home furnishing business on the global circular map and accelerating the transition to a circular economy within IKEA and beyond. The shared ambition is to create lasting impact on a global scale and drive transformation towards a circular society.

“To become circular is one of our big ambitions and challenges for the future. It is a transformational shift for our entire business. Our goal is to give products and materials a longer life through reuse, refurbishment, remanufacturing, and, as a last option, recycling. We believe this requires leadership and collaboration. We are very happy to work with the Ellen MacArthur Foundation to both advance our own transition and to make the circular economy a central part of the home furnishing industry. One of our first projects together will be to develop a global common dictionary on circular economy that can support an industry-wide transition”, says Lena Pripp-Kovac, Chief Sustainability Officer, Inter IKEA Group.

Already today, IKEA has made progress towards becoming a circular business; the first refurbishment tests took place in FY19. Sofas were refurbished and resold, providing knowledge for future scaling potential. IKEA is also exploring services enabling customers to acquire, care for and pass on products in circular ways. IKEA has developed circular product design principles for the development of all products, with the ambition to only use renewable and recycled materials by 2030. Today, more than 60% of the IKEA product range is based on renewable materials, like wood and cotton, and more than 10% contains recycled materials. By the end of FY19, the overall share of polyester in textile products being recycled reached 59%. rPET is used in products including rugs, curtains, roller blinds, bedding, pillows, quilts, sofa cover, as well as storage boxes and bags.

 “We are delighted to partner with IKEA, who share our belief that through the circular economy, businesses can play a vital role in meeting many of the challenges we face today, such as climate change, waste and pollution. The circular economy empowers businesses to rethink how they create value, in ways that benefit the environment, society, and the economy. This is an exciting opportunity to help transform an industry that is not only a significant part of the global economy, but has such a strong, personal connection to individuals and communities around the world”, said Andrew Morlet, CEO at the Ellen MacArthur Foundation.

Through this partnership IKEA and the Ellen MacArthur Foundation will be:

  • Developing global definitions which are key to enable a circular economy that are fact-based, transparent and easy to understand and follow-up
  • Advocating for circular design and inspiring a new generation of designers
  • Impacting legislation to accelerate the transition to a circular economy
  • Promoting circular offers to our customers and inspiring new behaviours


*IKEA has already a history of collaborating with Ellen MacArthur through the IKEA franchisee Ingka Group. Inter IKEA Group is now entering a strategic partnership with the Ellen MacArthur Foundation which will increase the ambition of the partnership and benefit businesses across the IKEA franchise system and value chain.


About IKEA

IKEA offers well-designed, functional and affordable, high-quality home furnishing, produced with care for people and the environment. There are several companies with different owners, working under the IKEA Brand, all sharing the same vision: to create a better everyday life for the many people. IKEA was founded in Sweden in 1943.

Inter IKEA Group

The core business within Inter IKEA Group are franchising, range, supply and industry. Inter IKEA Systems B.V. is the owner of the IKEA Concept and the worldwide IKEA franchisor, that also assigns different IKEA companies to develop range, supply and communication. These assignments are carried out by IKEA of Sweden AB, IKEA Supply AG, IKEA Food Services AB and IKEA Communications AB.



About the Ellen MacArthur Foundation

The Ellen MacArthur Foundation was launched in 2010 with the aim of accelerating the transition to the circular economy. Since its creation, the charity has emerged as a global thought leader, putting the circular economy on the agenda of decision-makers around the world. The charity’s work focuses on seven key areas: insight and analysis; business; institutions, governments, and cities; systemic initiatives; circular design; learning; and communications.

Further information: | @circulareconomy

Related links

More information about Ellen MacArthur Foundation